Billions of Taxpayer Dollars Allegedly Lost in Iraq Reconstruction
By Sean Maroney
Washington, D.C.
21 March 2007
The U.S.-led war in Iraq, now entering its fifth year, has cost hundreds of billions of dollars -- spending that both supports the American military effort and attempts to rebuild the battered nation. Auditors and other experts believe billions of dollars have been lost as a result of waste, fraud and fiscal abuse by war profiteers. A U.S. Senate committee has been studying what can be done to eliminate such problems. VOA's Sean Maroney reports.
Iraqi army soldier mans checkpoint in Baghdad 15 Mar. 2007
Iraqi Army soldier mans checkpoint in Baghdad 15 Mar. 2007
Through its first four years, the total cost of the war in Iraq -- both in human lives and in monetary terms -- has far exceeded all projections. The Bush administration originally billed the war at $50 billion, but actual spending has been nearly 10 times higher, and is still growing.
Programs to rebuild Iraq consumed much of that spending, and U.S. lawmakers are trying to put a stop to profiteering that siphoned off billions of dollars intended to help the Iraqi people.
Senator Patrick Leahy explains: "The American people are sacrificing so far, half a trillion dollars. We'll at least double that amount [eventually]. They ought to make sure at least -- whether they agree with or oppose the war in Iraq -- they at least know that their tax dollars are being spent the way they should be."
Special Inspector General Stuart Bowen investigates alleged fraud in Iraq's reconstruction. He says there are many factors that make oversight difficult.
Stuart Bowen
Stuart Bowen
"One of the challenges in Iraq is putting together a case when there is no electronic trail to follow,” says Bowen. “There is no EFT -- electronic funds transfer -- in Iraq, which means you depend exclusively on individuals coming forward [to expose fraud]. And we're talking about individuals coming forward in an environment where their lives are threatened."
Bowen's office examined spending patterns several months ago on reconstruction projects in Iraq. The auditors found up to half of all money paid to U.S. government contractors goes to administrative costs rather than actual building work.
In one case, the report said, K.B.R. Incorporated, a subsidiary of the giant U.S. corporation Halliburton, billed the federal government $163 million for its overhead costs -- more than 55 percent of the budget for the full rebuilding project.
The audit also noted bureaucratic flaws that caused long delays, which in turn led to high administrative costs.
But Bowen says private contractors are not the only ones to blame for wasteful spending. "Corruption within the Iraqi government is a serious problem inhibiting all progress in Iraq. We have called it the 'second insurgency' in our reports."
In the course of 300 corruption cases the inspector general's office has opened, investigators found millions of dollars went to Iraqi officials in kickback schemes.
U.S. government lawyers say they expect more prosecutions in the future from investigations still under way.
Re: Billions Of Tax Dollars Allegedly Lost In Iraq Reconstruction!
format_quote Originally Posted by Joe98
of the USD$500,000,000,000.00 if only
USD100,000,000,000.00
went on reconstruction
thats a lot of schools, hospitals and water pipes.
Its a shame a large sum has been scammed off.
-
Well you need more decent people in the Middle-East. And you need the United States to stop caring about people in the Middle-East. Let the UN do its job. That is what the United States needs to do. Oh and it needs to focus on helping to rebuild Mexico that way less people would want to immigrat into the United States from Mexico. There are over 14 million illegal Mexicans in the United States. Why? Because life is worse than hell in Mexico.
Re: Billions Of Tax Dollars Allegedly Lost In Iraq Reconstruction!
format_quote Originally Posted by wilberhum
The sad thing is that the schools, hospitals and water pipes would only have created more targets for the insurgents to blow up.
Hardly an excuse for stealing tax payer's money, considering it's this very government who would jail a single mom for (heaven forbid) acquiring food-stamps 14 days beyond her first day at work. The government officials have been lining their wallets (and Swiss bank accounts) for years, and they'll always get away with it because they have people like you making excuses for them!
Re: Billions Of Tax Dollars Allegedly Lost In Iraq Reconstruction!
format_quote Originally Posted by Ninth_Scribe
Hardly an excuse for stealing tax payer's money, considering it's this very government who would jail a single mom for (heaven forbid) acquiring food-stamps 14 days beyond her first day at work. The government officials have been lining their wallets (and Swiss bank accounts) for years, and they'll always get away with it because they have people like you making excuses for them!
Ninth Scribe
Of course I'm the cause of all theft. I thought every one knew that.
Jailing single moms is one of my specialties. I assume there is illegal sex involved.
Just be glad I don’t hang them like some think should be done.
I myself have lined my pockets with billions of dollars. That is why I hove so much time to troll this forum.
From your tone, I would assume that fraud laws are the only laws that you would chose to enforce. :enough!:
Re: Billions Of Tax Dollars Allegedly Lost In Iraq Reconstruction!
format_quote Originally Posted by wilberhum
Of course I'm the cause of all theft. I thought every one knew that.
Jailing single moms is one of my specialties. I assume there is illegal sex involved.
Just be glad I don’t hang them like some think should be done.
I myself have lined my pockets with billions of dollars. That is why I hove so much time to troll this forum.
From your tone, I would assume that fraud laws are the only laws that you would chose to enforce. :enough!:
Just ribbing you because I know what a sport you are. Seriously though, the missing money is a criminal violation and should have been treated as such.
Re: Billions Of Tax Dollars Allegedly Lost In Iraq Reconstruction!
format_quote Originally Posted by Ninth_Scribe
Just ribbing you because I know what a sport you are. Seriously though, the missing money is a criminal violation and should have been treated as such.
Ninth Scribe
Seriously, I'm in total agreement.
PS: How did you figure out that I am a "Good Sport"? Few others have.
Re: Billions Of Tax Dollars Allegedly Lost In Iraq Reconstruction!
format_quote Originally Posted by Ninth_Scribe
Hardly an excuse for stealing tax payer's money, considering it's this very government who would jail a single mom for (heaven forbid) acquiring food-stamps 14 days beyond her first day at work. The government officials have been lining their wallets (and Swiss bank accounts) for years, and they'll always get away with it because they have people like you making excuses for them!
Ninth Scribe
I agree with what you've said
Ėk Gusā Alhu Mėrā
The One Lord, the Lord of the World, is my God Allah.
Dhan Guru Arjan Dev Mahraaj Ji!
Kal Meh Bėḏ Atharbaṇ Hū Nā Kẖuḏā Alhu Bẖa.
In the Dark Age of Kali Yuga, the Atharva Veda became prominent; Allah became the Name of God.
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